Why Your MDF Program Is Broken (And How To Fix It)

Download Why Your MDF Program Is Broken (And How To Fix It)

Post on 05-Apr-2017

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  • WHYYOUR MDFPROGRAMIS BROKEN

    (& HOW TO FIX IT)

  • MDF PROGRAMS ARE

    Market development funds should be the ultimate proof of partnership between technology vendors

    and channel partners.

    Unfortunately, these programs were designed in the 1980s and the world of communications is very

    dierent these days.

  • SELLERS ARE NO LONGER IN CONTROL.POWER HAS SHIFTED TO THE BUYERS.

    And these buyers are

    65 TO 90% OF THE WAY THROUGH A PURCHASING DECISION

    before they even speak to a salesperson.

    FORRESTER RESEARCH

  • 75% OF B2B BUYERSARE USING SOCIAL NETWORKSto search for solutions tobusiness challenges.

    IDC

  • Potential customers want to know how you can help them

    solve their challenges and achieve their goals.

  • Cold calling, generic email blasts and other

    outdated tactics no longer work.

  • SO WHAT ARETHE PROBLEMS WITH YOURMDF PROGRAM?

    Anybody whos ever been involved with MDF programs will tell you theres never enough money to go around.

  • Many vendors will ask channel partners to match allocation of MDF funding.

    This is unfair because partners typically operate on much leaner profit margins and it can create tension in the business relationship.

    ALLOCATION MATCHING

  • MDF programs are often hastily put together to drive sales of a particular product range.

    Theyre not properly resourced or given enough time to generate results, and everyone moves onto something else once the quarter ends.

    LACK OF STRATEGY

  • Most channel partners will admit theyre not very goodat marketing. Theyre so busy dealing with clients and prospects that its just nota priority.

    LACK OF SKILLS

  • Vendors like to think of their products and services as complete solutions but theyre only one piece of the puzzle that partners have to deal with.

    UNREALISTIC EXPECTATIONS

  • MEASURING SUCCESS

    Theres an ongoing sense of disconnect between buying and selling cycles. Sales team are focused on quarterly targets but the buyers journey usually takes a lot longer.

  • FOCUS ON PRODUCT

    Potential customers want to know how you can help them

    solve their challenges and achieve their goals.

    Too much technology marketing is focused on products and services rather than customer goals and challenges.

  • Cold calling, generic email blasts and other

    outdated tactics no longer work.

    The biggest challenge is embracingmodern, digital marketing based ongetting high quality content in frontof the right people.

    SCOTT CAULFIELD, NEXTGEN CREATE

  • WHYGREAT CONTENT IS THE ANSWER

  • Most of the content on vendor websites is designed to convince potential buyers they should

    buy their product or service.

    This is only relevant when somebody is ready to make a purchase.

  • 3 OUT OF 4 business buyers conduct more than half of their research online before making an oine purchase. FORRESTER RESEARCH

    What content are you producingto answer their questions?

  • CONSIDER THESE STATS...

    70% 61%3XLEADS

    of people would rather learn about a company through

    articles rather than ads.

    Content generates three times as many leads as traditional

    outbound marketing but on average it costs

    62% less.

    of B2B buyers say their chosen vendor delivered

    a better mix of content for every stage of

    their journey.

    AXONN MEDIA DEMAND GEN

    DEMAND METRIC

  • The world hasCHANGED

    Time-shifting technology has allowed viewers to skip ads between programs.

    Ad blockers allow customers toremove advertising from the online experience altogether.

    Brands who push their own agenda on social media are increasingly ignored.

  • Content must educate, entertain and make youraudience feel something.

  • So what does good content look like?

  • Great content has to be focused on clear business objectives.

    Always know what youre trying to achieve before you start.

    ALIGNEDWITH GOALS1|

  • Great content knows who yourdecision makers and influencers areWhat are their goals and challenges?

    How can your brand help them?

    KNOW YOUR AUDIENCE2|

  • Great content is part education and part entertainment.

    It must be useful and make your audience feel something.

    3| SHARE KNOWLEDGE

  • Great content sparks conversation.Brands that do this well actively engage their audiences and encourage them to

    help each other.

    BUILD COMMUNITY4|

  • Great content is built on long-term strategy but lives in the moment.

    Be aware of opportunities to add context to current events.

    REACTQUICKLY5|

  • TIME FOR ACHANGEThe B2B buyers journey is longer and more fragmented than its ever been.

    Its time to embracemodern marketingand start producing useful content that drives real business opportunity for your brand and channel partners.

  • WHO WE AREAt Spectrum Group we tell the stories that wont tell themselves . We help brands cut through the noise with a full range of integrated communications services, including content, PR, social media and design.

  • Get in touch with us to talk about how you can make better use of your MDF funds to drive real business opportunities for your brand and channel partner community.

    HOW WE CAN HELP

    Email us atcontent@spectrumgroup.is